PMBOK® Guide – Seventh Edition AND The Standard for Project Management With this in mind, A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – Seventh Edition takes a deeper look into the fundamental concepts and constructs of the profession Including both The Standard for Project Management and the PMBOK® Guide, this edition presents 12 principles of project management and eight project performance domains that are critical for effectively delivering project outcomes This edition of the PMBOK® Guide: • Reflects the full range of development approaches (predictive, traditional, adaptive, agile, hybrid, etc.); • Devotes an entire section to tailoring development approaches and processes; • Expands the list of tools and techniques in a new section, “Models, Methods, and Artifacts”; • Focuses on project outcomes, in addition to deliverables; and • Integrates with PMIstandards+™, giving users access to content that helps them apply the PMBOK® Guide on the job The result is a modern guide that better enables project team members to be proactive, innovative, and nimble in delivering project outcomes A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – Seventh Edition and The Standard for Project Management Over the past few years, emerging technology, new approaches, and rapid market changes disrupted our ways of working, driving the project management profession to evolve Each industry, organization and project face unique challenges, and team members must adapt their approaches to successfully manage projects and deliver results GLOBAL STANDARD A Guide to the Project Management Body of Knowledge PMBOK GUIDE ® Seventh Edition The Standard for Project Management AND ANSI/PMI 99-001-2021 Project Management Institute Global Headquarters 14 Campus Boulevard Newtown Square, PA 19073 USA Tel: +1 610 356 4600 PMI.org PMBOK_Guide_7thED_cover_spread.indd 5/3/21 4:57 PM THE STANDARD FOR PROJECT MANAGEMENT and A GUIDE TO THE PROJECT MANAGEMENT BODY OF KNOWLEDGE (PMBOK® GUIDE) Seventh Edition Library of Congress Cataloging-in-Publication Data Names: Project Management Institute, publisher Title: The standard for project management and a guide to the project management body of knowledge (PMBOK guide) Other titles: Guide to the project management body of knowledge (PMBOK guide) | PMBOK guide Description: Seventh edition | Newtown Square, Pennsylvania: Project Management Institute, Inc., [2021] | Includes bibliographical references and index | Summary: "Over the past few years, emerging technology, new approaches, and rapid market changes disrupted our ways of working, driving the project management profession to evolve Each industry, organization and project face unique challenges, and team members must adapt their approaches to successfully manage projects and deliver results With this in mind, A Guide to the Project Management Body of Knowledge (PMBOK® Guide) - Seventh Edition takes a deeper look into the fundamental concepts and constructs of the profession Including both The Standard for Project Management and the PMBOK® Guide, this edition presents 12 principles of project management and eight project performance domains that are critical for effectively delivering project outcomes This edition of the PMBOK® Guide: Reflects the full range of development approaches (predictive, traditional, adaptive, agile, hybrid, etc.); Devotes an entire section to tailoring development approaches and processes; Expands the list of tools and techniques in a new section, "Models, Methods, and Artifacts"; Focuses on project outcomes, in addition to deliverables; and Integrates with PMIstandards+, giving users access to content that helps them apply the PMBOK® Guide on the job The result is a modern guide that betters enables project team members to be proactive, innovative, and nimble in delivering project outcomes." – Provided by publisher Identifiers: LCCN 2021011107 (print) | LCCN 2021011108 (ebook) | ISBN 9781628256642 (paperback) | ISBN 9781628256659 (epub) | ISBN 9781628256666 (kindle edition) | ISBN 9781628256673 (pdf) Subjects: LCSH: Project management–Standards Classification: LCC HD69.P75 G845 2021 (print) | LCC HD69.P75 (ebook) | DDC 658.4/04–dc23 LC record available at https://lccn.loc.gov/2021011107 LC ebook record available at https://lccn.loc.gov/2021011108 A Guide to the Project Management Body of Knowledge (PMBOK Guide) Seventh Edition and The Standard for Project Management ISBN: 978-1-62825-664-2 Published by: Project Management Institute, Inc 14 Campus Boulevard Newtown Square, Pennsylvania 19073-3299 USA Phone: +1 610 356 4600 Email: customercare@pmi.org Internet: www.PMI.org ©2021 Project Management Institute, Inc All rights reserved Our copyright content is protected by U.S intellectual property law that is recognized by most countries To republish or reproduce our content, you must obtain our permission Please go to http://www.pmi.org/permissions for details PMI, the PMI logo, PMBOK, OPM3, PMP, CAPM, PgMP, PfMP, PMI-RMP, PMI-SP, PMI-ACP, PMI-PBA, PROJECT MANAGEMENT JOURNAL, PM NETWORK, PMI TODAY, PULSE OF THE PROFESSION and the slogan MAKING PROJECT MANAGEMENT INDISPENSABLE FOR BUSINESS RESULTS are all marks of Project Management Institute, Inc For a comprehensive list of PMI trademarks, contact the PMI Legal Department All other trademarks, service marks, trade names, trade dress, product names and logos appearing herein are the property of their respective owners Any rights not expressly granted herein are reserved To place an order or for pricing information, please contact Independent Publishers Group: Independent Publishers Group Order Department 814 North Franklin Street Chicago, IL 60610 USA Phone: 800 888 4741 Fax: +1 312 337 5985 Email: orders@ipgbook.com (For orders only) Printed in the United States of America No part of this work may be reproduced or transmitted in any form or by any means, electronic, manual, photocopying, recording, or by any 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any nature whatsoever, whether special, indirect, consequential or compensatory, directly or indirectly resulting from the publication, use of application, or reliance on this document PMI disclaims and makes no guaranty or warranty, expressed or implied, as to the accuracy or completeness of any information published herein, and disclaims and makes no warranty that the information in this document will fulfill any of your particular purposes or needs PMI does not undertake to guarantee the performance of any individual manufacturer or seller’s products or services by virtue of this standard or guide In publishing and making this document available, PMI is not undertaking to render professional or other services for or on behalf of any person or entity, nor is PMI undertaking to perform any duty owed by any person or entity to someone else Anyone using this document should rely on his or her own independent judgment or, as appropriate, seek the advice of a competent professional in determining the exercise of reasonable care in any given circum­stances Information and other standards on the topic covered by this publication may be available from other sources, which the user may wish to consult for additional views or information not covered by this publication PMI has no power, nor does it undertake to police or enforce compliance with the contents of this document PMI does not certify, test, or inspect products, designs, or installa­tions for safety or health purposes Any certification or other statement of compliance with any health or safety-related information in this document shall not be attributable to PMI and is solely the responsibility of the certifier or maker of the statement v Preface Each time work begins on a new edition of The Standard for Project Management and the PMBOK® Guide, there is an opportunity to consider global perspectives on changes in project management and the approaches used for realizing benefits and value from project outputs In the time between every edition, a world of change has occurred Some organizations have ceased to exist, and new organizations have emerged Older technologies have reached end of life while technologies offering completely new capabilities have evolved People who continue in the workforce have advanced their thinking, skills, and capabilities as new entrants focus on quickly understanding their professional language, building their skills, developing their business acumen, and contributing to the objectives of their employers Even in the midst of such changes, though, there are fundamental concepts and constructs that remain in place The understanding that collective thinking produces more holistic solutions than the thoughts of one individual continues And the fact that organizations use projects as a vehicle for delivering a unique result or output endures CU STOME R- AN D E N D -US E R - C E N T E R E D DE S I G N While the Sixth Edition of the PMBOK® Guide was under development and throughout development of this Seventh Edition, PMI has actively engaged with a broad range of global stakeholders on their experiences with using The Standard for Project Management and the PMBOK® Guide These engagements have included: ▶ Online surveys to representative samples of PMI stakeholders; ▶ Focus groups with PMO leaders, project managers, agile practitioners, project team members, and educators and trainers; and ▶ Interactive workshops with practitioners at various PMI events around the globe vii The feedback and inputs collectively emphasized four key points: ▶ Maintain and enhance the credibility and relevance of the PMBOK® Guide ▶ Improve the readability and usefulness of the PMBOK® Guide while avoiding overstuffing it with new content ▶ Sense stakeholder information and content needs and provide vetted supplemental content supporting practical application ▶ Recognize that there is continued value for some stakeholders in the structure and content of previous editions so that any shifts enhance without negating that value SUSTAIN IN G T H E RE L E VAN C E O F T HE P M B O K ® G U I DE Since its inception as the Project Management Body of Knowledge (PMBOK) in 1987, A Guide to the Project Management Body of Knowledge (PMBOK® Guide) has evolved while recognizing that fundamental elements of project management endure Its evolution has not just involved an increase in the page count, it has also involved significant and substantive changes in the nature of the content A sampling of some of those key changes is reflected in the following table: viii Evolution of Key Changes in the PMBOK® Guide PMBOK® Guide Edition Key Evolutionary Changes 1996 • Distinguished as “a guide to the body of knowledge,” rather than the body of knowledge for project management • Reflected the subset of the project management body of knowledge that is “generally accepted,” meaning applicable to most projects most of the time with widespread consensus that practices have value and usefulness • Defined project management as “the application of knowledge, skills, tools, and techniques to project activities in order to meet or exceed stakeholder needs and expectations [emphasis added] from a project.” • Specific decision to shift to a process-based standard driven by a desire to show interactions among Knowledge Areas; create a robust and flexible structure; and recognize that ISO and other standards organizations were establishing process-based standards Third (2004) • First edition to incorporate the “ANSI Standard” logo on the cover • First edition to formally designate The Standard for Project Management of a Project separate and distinct from the Project Management Framework and Body of Knowledge • Included material “generally recognized as good practice on most projects most of the time.” • Defined project management as “the application of knowledge, skills, tools, and techniques to project activities to meet the project requirements.” Sixth (2017) • First edition to make a distinct separation between the ANSI standard and the guide • First time “agile” content is incorporated into the text, not just referenced in examples • Expansion of Knowledge Area front material, including key concepts, trends and emerging practices, tailoring considerations, and considerations for agile/adaptive environments ix F G Fail safe, 121 Failure analysis, 89 Failure costs internal and external, 89 noncompliance and, 88 Fast tracking, 52, 59, 60 Feasibility, 42, 43 Feature completion rates, 100 Feedback loops, 13, 161 Fees, contracts and, 91 FFP See Firm fixed price Finance, 221 Finish date, 100 Finish-to-finish relationship, 59 Finish-to-start relationship, 59 Firm fixed price (FFP), 191 Fist of five voting, 28 Fixed-price contracts, 191 Fixed price incentive fee (FPIF), 191 Fixed price with economic price adjustment (FPEPA), 191 Flow-based estimating, 58 Flow-based projects, 109 Flow-based scheduling, 45 Flowchart, 189 Focus groups, 83, 174 Forecasting, 104–105 data gathering and analysis, 176 methods, 32, 160–161 Forming, storming, norming, performing, adjourning, 166 FPIF See Fixed price incentive fee FFP See Firm fixed price Function point, 178 Funding, 224 availability of, 41 incremental, 222, 223 limitations, 62 project processes and, 71 requirements, 46 Gantt chart, 189 Globalization/global environment cross-cultural communication, 157 distributed project teams, 30 Global market shifts, 219–221 Good practices, 165, 180, 212 Governance See also Organizational governance development approach and, 148 project, 87 tailoring, and, 131, 139 Group(s) external, 140 Process Groups, 170–171 Growth, 19 Guidance, 19 Gulf of evaluation, 158 Gulf of execution, 158 Index H Hawthorne effect, 112 Hierarchical charts, 187 High-level requirements, 39 High-performing project teams, 22 Histogram, 175, 189 Historical information, 149 Holistic thinking approach, 51, 68, 89 Holistic view, 98, 190 Hybrid development approach, 33, 36 Hygiene factors, 158 I ID See Activity identifier Idea, transforming, 163 Identified risks, 127 Identify step, stakeholder engagement, 11 IDIQ See Indefinite delivery indefinite quantity Impact mapping, 181 Improvement, continuous, 139, 213, 214 Incremental development approach, 37, 44 Incremental guidance and funding, 223 261 Indefinite delivery indefinite quantity (IDIQ), 191 Indicators See Key performance indicators (KPIs) Individual project risk, 177, 190 Industry/industries market and, 142 traditional product, 224 Influence development approach and, 39, 40, 41 leadership and, 29 sponsors and, 209 Influence diagram, 176 Information gathering, 119 historical, 149 Measurement Performance Domain, 106–111 presenting, 106–111 Information radiator, 108, 109 Initiating Process Group, 171 Initiatives, critical, 214 Innovation degree of, 39 Input(s) flow of deliveries and, 45 Process Groups and, 171 Inputs, tools/techniques, and outputs (ITTOs), Inspection, 42, 47, 88, 89 Integration practice and, 163 tailoring engagement and, 136 Integrity, 20 Intellectual property, 75 Interactions, performance domains Delivery Performance Domain, 91 Development Approach and Life Cycle Performance Domain, 49–50 Measurement Performance Domain, 114–115 Planning Performance Domain, 67 Project Work Performance Domain, 78 Stakeholder Performance Domain, 14 Team Performance Domain, 31 Uncertainty Performance Domain, 128 Internal dependency, 60 Internal failure costs, 89 Internal rate of return (IRR), 175 262 Interpersonal skills, 25–29 soft skills, 12 stakeholder engagement and, 12 types of, 23–29 Intrinsic motivation, 159 IRR See Internal rate of return Issue log, 185 Iterate, 121 Iteration, 44–45, 53 Iteration plan, 61, 186 Iteration planning meeting, 179 Iteration review, 179 Iterative development, 37 Iterative process, 120 ITTOs See Inputs, tools/techniques, and outputs J Job shadowing, 78 Judgment See Expert judgment Just-in-time scheduling approach, 45 K Kanban boards, 109, 110 Kanban scheduling system, 45 Key performance indicators (KPIs), 95–96 Key stakeholders, 11, 23, 44, 167, 179 Kickoff meeting, 179, 183 Knowledge explicit, 70, 77–78 tacit, 77–78 Knowledge management, 77 Knowledge management repository, 149 Knowledge transfer, 213 KPIs See Key performance indicators L Lagging indicators, 96 Lags, leads and, 59 Late start and finish dates, 100 PMBOK ® Guide Leadership centralized management and, 17 distributed management and, 17–18 styles and, 30 team, 17–19 Leadership skills, 23–29 critical thinking, 24 interpersonal skills, 25–29 motivation, 24–25 team, 23–29 vision, establishing and maintaining, 23 Leadership styles, tailoring, 30 Leading indicators, 96 Leads, lags and, 59 Lead time chart, 189 Lean production methods, 71 Lean scheduling approach, 45 Learning throughout project explicit and tacit knowledge, 77–78 knowledge management, 77 Legal requirements, 118, 149 Legal restrictions, 54 Lessons learned See also Retrospectives meetings, 127, 180 retrospectives or, 71 tailoring and, 151 Lessons learned register, 185 Life cycle See also Predictive life cycle; Product life cycle; Project life cycle adaptive development approach, 45 community center, 48 development, 89 Development Approach and Life Cycle Performance Domain, 42–45 incremental development approach, 44 phase definitions and, 42–45 phases in, 42, 46–48 predictive, 43, 49 tailoring and, 150 Life cycle and development approach, tailoring and, 134 Life cycle assessment, 176 Logs and registers, 185 Index M Make-or-buy analysis, 65, 176 Management change, 213 conflict, 29 project team, leadership and, 17–19 requirements and, 83 self-management, 26, 27 Management reserve, 127 Mandatory dependency, 60 Market conditions, 54 Market shifts, global, 219–221 Master project schedule, 74 Mastery, 159 Materials, environment and, 53 Measurement(s) See also Metrics baseline performance, 100–101 business value, 102 delivery, 99 effective, establishment of, 95–105 forecasts, 104–105 key performance indicators (KPIs), 95–96 pitfalls, 111–112 resources, 101 stakeholders, 103–104 what to measure, 98–105 Measurement Performance Domain, 93–115 checking results, 115 definitions relevant to, 93 effective measures, establishment of, 95–105 establishing effective measures, 95–105 growing and improving, 114 interactions with other performance domains, 114–115 measurement pitfalls, 111–112 outcomes, checking, 115 outcomes, desired, 93 overview, 93–95 presenting information, 106–111 tailoring considerations, 150 troubleshooting performance, 113–114 what to measure, 98–105 Media richness, 157 263 Meetings bidder conference, 70, 179 change control, 179 events and, 179–180 retrospectives/lessons learned, 71, 127, 179 risk review and, 127 standup, 127, 179 types of, 179–180 Memorandum of agreement (MOA), 191 Memorandum of understanding (MOU), 191 Methods, 174–181 applied across performance domains, 181–183 data gathering and analysis, 174–177 definition, 153 estimating, 178 impact mapping, 181 meetings and events, 179–180 modeling, 181 Net Promoter Score® (NPS®), 181 overview, 153–155 prioritization schema, 181 tailoring, 136 timebox, 181 Metrics See also Measurement Performance Domain; Measurement(s) definition, 93, 192 deliverable, 98 effective, 97 misuse of, 112 Planning Performance Domain, 66 SMART criteria, 97 vanity metric, 112 work performance, 66 Milestones, roadmap and, 184 Milestone schedule, 188 See also Master project schedule Modeling, 181 Models See also Change models; Communication models; Complexity models; Motivation models; Negotiation models applied across performance domains, 112–113 commonly used, 95–98 conflict, 168–169 definition, 153 mapping of, performance domains and, 173 OSCAR model, 156 264 overview, 153–155 planning, 170 Process Groups, 170–171 project team development, 166–167 Salience Model, 171 situational leadership, 155–156 win-win perspective and, 169, 170 Monitoring controlling and, 171 new work and changes, 76–77 Monitoring and Controlling Process Group, 171 Monte Carlo simulation, 177 Mood chart, 103 Morale, 104, 112 MoSCoW, 181 Motivation emotional intelligence and, 27 leadership skills and, 24–25 sponsors and, 210 Motivation models, 158–160 hygiene and motivational factors, 158 intrinsic versus extrinsic motivation, 159 theory of needs, 159 Theory X, Theory Y, and Theory Z, 160 MOA See Memorandum of agreement MOU See Memorandum of understanding Multicriteria weighted analysis, 181 Multipoint estimating, 178 N Negative risks (threats), 121, 122 Negotiation models, 169–171 planning, 170 Process Groups, 170–171 win-win perspective and, 169, 170 Net present value (NPV), 102, 175 Net Promoter Score® (NPS®), 103, 181 Networking, 78 Network logic, 59 Network path, 59 Nonconformance, prevention of, 81, 175 Non-value-added work, 71, 72, 99 Nonverbal communication, 26 NPV See Net present value PMBOK ® Guide O P Objectives, vision and, 18 OBS See Organizational breakdown structure Obstacle removal, 18 Ongoing provision and payment, 220–221 Opportunities development, 18 strategies for, 125 Organization(s) customer-centric, 225 customers and, relationship between, 220 tailoring for, 139–140 Organizational breakdown structure (OBS), 187 Organizational capability, 41 Organizational culture, 41, 143 See also Culture Organizational factors, tailoring and, 140 Organizational governance structures, 30 tailoring and, 152 Organizational requirements, 54 Organizational strategy, 212 Organizational structure(s) See also Project management office (PMO) description of, 41 governance, 30 OSCAR model, 156 Outcome(s) See also Checking outcomes; Desired outcomes checking results and, 68 multiple, preparing for, 119 outcomes-oriented capabilities, 213 project management office (PMO) and, 213 suboptimal, 91 Output(s) See also Inputs, tools/techniques, and outputs data analysis and, 174 Process Groups and, 171 Overall project risk, 122 Overlapping project phases, 50 Ownership, shared, 22 Parameters, 98, 178 Parametric estimating, 178 Partner, sponsor as, 209 Payback period, 175 Payment, ongoing provision and, 220–221 PBP See Payback period People, tailoring engagement and, 136 Performance See also Key performance indicators (KPIs) baseline, 100–101, 188 Measurement Performance Domain, 113–114 reviews, 68 Performance domains See also Project performance domains artifacts applied across, 192–195 Delivery Performance Domain, 80–92 Development Approach and Life Cycle Performance Domain, 32–50 mapping of artifacts and, 193–195 mapping of methods and, 182–183 mapping of models used in each, 173 Measurement Performance Domain, 93–115 methods applied across, 181–183 models applied across, 172–173 Planning Performance Domain, 51–68 project management principles and, Project Work Performance Domain, 69–79 Stakeholder Performance Domain, 8–15 Team Performance Domain, 16–31 Uncertainty Performance Domain, 116–129 Perspective, project management office (PMO) and, 213 Phase See Project phase(s) Phase definitions, life cycle and, 42–45 Phase gate reviews, 42, 46, 47 Physical resources management of, 73–74 planning for, 65 Planning Performance Domain, 65 Project Work Performance Domain, 73–74 Pie charts, 106 Plan(s), 186–187 exception plan, 113, 114 Index 265 Planned benefits delivery compared to actual benefits delivery, 102 Planned resource cost compared to actual resource cost, 101 Planned resource utilization compared to actual resource utilization, 101 Planned value (PV), 100, 101 Planning high-level, 52 negotiation models and, 170 Planning meeting, 180 Planning Performance Domain, 51–68 alignment, 67 changes, 66 checking results, 68 communication, 64 definitions relevant to, 52 interactions with other performance domains, 67 metrics, 66 outcomes, checking, 68 outcomes, desired, 51 physical resources, 65 planning overview, 52–53 planning variables, 53–63 procurement, 65 project team composition and structure, 63–64 tailoring considerations, 148 Planning Process Group, 171 Planning overview, 52–53 Planning variables, 53–63 budget, 62–63 delivery and, 54 estimating and, 55–58 schedules, 58–62 PM See Project manager PMIstandards+, 6, 174 PMO See Project management office (PMO) Portfolio leaders, 95 Positive risks (opportunities), 122 Power, theory of needs and, 159 Pre-bid conferences, 70, 179 Precision definition, 52 description of, 55 level of, 56 266 Predecessor, 59 Predictive developmental approach, 35–36 Predictive life cycle, 43, 49 Presentations, 73 Presenting information, 106–111 dashboards, 106–107 information radiators, 108 visual controls, 109–111 Prevention costs, 88 Prioritization matrix, 189 Prioritization schema, 181 Prioritize, stakeholder engagement, 12 Probabilistic estimating, 57 Probability and impact matrix, 176 Probability distributions, 57, 177 Problem solving, 21, 29, 168 Process analysis, 176 Process-based approach, 171 Process-based complexity, 121 Process(es) adding, removing and changing, 144 conformance and, 71 environment and, 53 groups of, 170 project, 71–72 smart and simple, 214 tailoring, 137–145 Process Groups, negotiation models and, 170 Process tailoring, 71, 135 Procurement(s) bid process, 75 contracting, 75–76 Planning Performance Domain, 65 Project Work Performance Domain, 74–76 working with, 74–76 Procurement audit, 79 Procurement management plan, 186 Procurement strategy, 46 Product(s) definition, 218 development approach and, 39–40 digital, 34 final, 82 global market shifts, 219–221 organizational considerations and, 221–225 PMBOK ® Guide project delivery practices and, 221 software addition to more, 225 tailoring for project, 142 transition, views and, 217–218 unique characteristics of, 224 value views and, 217 Product backlog, 76, 185 Product breakdown structure, 187 Product environment, continuous value delivery and, 222 Product life cycle definition, 218 Product management definition, 218 global business trends and, 219 organizational considerations, 221–225 views of, 218 Product owner, 76 Product requirements elicitation of, 50 make-or-buy analysis and, 176 requirements documentation and, 192 requirements traceability matrix and, 189 Product reviews, 14 Product roadmap, 61 Product scope, 54 Product vision, 61 Program management continuous value delivery and, 222 plans and, 186–187 structures, utilization of, 223–225 Program manager, 14 Programs, unique characteristics of, 224 ongoing improvement and, 144 Project(s) development approach and, 40–41 Development Approach and Life Cycle Performance Domain, 40–41 experience with type of, 30 learning throughout, 77–78 performance domains and, process-based approach, 171 tailoring for, 141–144 uniqueness and, 224 Index Project-authorizing documents, 82 Project brief, as strategy artifact, 184 Project budget component, 62, 63 Project calendar, 192 Project charter close phase and, 47 start up and, 46 as strategy artifact, 184 Project closeout meeting, 180 Project communications, engagement and, 73 Project communications management plan, 79, 186 Project context, tailoring to fit, 146, 154 Project deliverables, 54 Project delivery practices, 221 Project documents, 52 Project execution See Executing Process Group Project factors, tailoring and, 140 Project life cycle business value and, 102 definition, 33 deliverables and, 81 developmental approaches and, 32, 35, 148 outcomes, checking, 50 Process Groups and, 170 products extending beyond, 218 project phases and, 42 tailoring and, 131 Project management office (PMO), 211–215 benefits realization and, 214 key capabilities of, 213 learning more about, 215 value delivery office (VDO), and, 140 value proposition for, 211–213 Project management plan definition, 186 executing process and, 171 integrated, large projects and, 67 as overarching plan, 186 progressive elaboration and, 120 Project management principles performance domains and, tailoring to fit project, 154 Project management team, 16 See also Project team(s) 267 Project manager (PM) See also Competencies; Leadership skills conflict models and, 168, 169 definition, 16 location and, 64 monitoring new work and, 76, 77 project charter and, 184 project processes and, 71 project team formation and, 17 risk responses and, 126 sponsor role and, 207 tailoring and, 140 team culture and, 20–21 Project performance domains See also Performance domains definition, delivery, 80–82 development approach and life cycle, 32–50 measurement, 93–115 number of, overview, 5, planning, 51–68 project context and, 146 project management and, 5, 146 project work, 69–79 stakeholder, 8–15 tailoring and, 145–150, 154 team, 16–31 uncertainty, 116–129 Project phase(s) definition, 33 examples of, 42 life cycle and, 42–45 phase-gate review, 42 Process Groups and, 170 Project processes, 71–72 Project requirements, 71 Project review meeting, 180 Project risk, uncertainty and, 119 Project schedule, 188 Project schedule network diagram, 189 Project scope, 54 Project size, 132, 139 Project sponsor, 123, 125, 207 See also Sponsor 268 Project stakeholder(s) examples of, internal, 39 scope and, 82 tailoring and, 152 Project statement of work See Statement of work Project success communication and, 157 key performance indicators (KPIs) and, 95 sponsors and, 207 Project team(s) See also Team(s) definition, 16 distributed, 30 focus, maintaining, 73 high-performing, 22 maturity and, 30 operations and, 19 Planning Performance Domain, 63–64 size and location of, 41 tailoring and, 142, 147 Project team charter, 19, 192 Project team culture, 20–21 Project team development models, 166–167 Drexler/Sibbet Team Performance Model, 167 Tuckman Ladder, 166 Project team management and leadership, 17–19 centralized, 17 distributed, 17–18 team development, 18–19 Project vision statement, 184 Project Work Performance Domain, 69–79 checking results, 79 communications and engagement, project, 73 competing constraints, balancing, 72 definitions relevant to, 70 interactions with other performance domains, 78 learning throughout project, 77–78 monitoring new work and changes, 76–77 outcomes, checking, 79 outcomes, desired, 69 overview, 69–70 physical resources, managing, 73–74 procurements, working with, 74–76 project processes, 71–72 project team focus, maintaining, 73 tailoring considerations, 149 PMBOK ® Guide Project work performance domain, 69–79 Proposals, 70 See also Request for proposal (RFP) bid documents and, 192 Provision and payment, ongoing, 220–221 Pull communication, 13 Purpose, 159 Push communication, 13 PV See Planned value Q Quality See also Cost of quality (COQ) definition, 81 Delivery Performance Domain, 87–91 Quality assurance, 88 Quality audits, 88 Quality management plan, 186 Quality management system, 52, 88 Quality planning, 88 Quality policy, 87 Quality report, 190 Quality requirements alignment and, 67 appraisal costs and, 87 cost of quality and, 88 processes and, 72 Quotations, 70, 192 R RACI chart, 189 Radiators, information, 108 RAG (red-amber-green) charts, 106 RAM See Responsibility assignment matrix Range description of, 55 time and material, 56 RBS See Resource breakdown structure; Risk breakdown structure RCA See Root cause analysis Recognition, high-performing project teams and, 22 Reframing, 121 Regression analysis, 105, 176 Index Regulations, 40 Regulatory restrictions, 54 Relative estimating, 178 Release and iteration plan, 61 Release plan, 61, 186 Release planning meetings, 180 Repairs, 89 Report(s), 190 See also Quality report; Risk report Reputation, 89 Request for information (RFI), 75, 192 Request for proposal (RFP), 75, 192 Request for quotation (RFQ), 75, 192 Requirement(s) See also Quality requirements definition, 81 deliverables and, 82–83 elicitation of, 111 evolving and discovering, 83 funding, 46 high-level, 39 management of, 83 organizational, 54 product, 50, 176, 189, 192 project, 171 safety, 40 stakeholder, 54, 72 well-documented, 83 Requirement elicitation, 83 Requirements certainty, 39 Requirements documentation, 192 See also Contract(s) Requirements elicitation, 83 Requirements management, 83 Requirements management plan, 186 Requirements traceability matrix, 189 Reserve, 122 See also Management reserve Reserve analysis, 177 See also Contingency reserve Residual risk, 125 Resilience building in, 119 high-performing project teams and, 22 Resource(s) See also Physical resources measurement of, 101 sponsors and, 209 Resolution of conflicts, 29 Resource breakdown structure, (RBS), 187 269 Resource management plan, 186 Resource requirements, 46 Respect, 21 Responsibility assignment matrix (RAM), 189 Result(s) See also Checking outcomes; Deliverable(s) development approach and, 39–40 internal failure and, 89 Retrospectives, 127, 180 See also Lessons learned project processes and, 71 tailoring and, 151 Return on investment (ROI), 102, 175 Returns, 89 Reviews design, 127 performance, 68 phase gate, 42, 46, 47 product, 14 project, 180 risk, 127 tailoring and, 151 Rewards, 24, 158, 159 Rework, 89 RFI See Request for information RFP See Request for proposal RFQ See Request for quotation Risk(s), 122–127 definition, 117 identification of, 122, 127 levels of, 127, 128 negative (threats), 121, 122 opportunities, 122, 125 overall project, 122 products and, 40 reduction of, over time, 124 reserves for, 127 residual, 125 secondary, 125 threats, 123–124 uncertainty and, 119, 122 Uncertainty Performance Domain, 122–127 Risk-adjusted backlog, 185 Risk-adjusted ROI curve, 126 270 Risk appetite response planning and, 125 risk thresholds and, 122 uncertainty and, 150 Risk breakdown structure (RBS), 187 Risk exposure, 109, 122 See also Risk report Risk impact See Probability and impact matrix Risk log, 108 Risk management risk register and, 185 uncertainty and, 150 Risk management plan, 186 Risk register, 185 Risk report, 190 Risk review, 127, 180 Roadmap, 184 ROI curve, risk-adjusted, 126 Rolling wave planning, 49 Roman voting, 28 Root cause, 24, 96, 177, 188 Root cause analysis, 177 S Safety requirements, 40 Salience Model, 171 Scatter diagrams, 189 Schedule(s), 58–62 See also Project schedule; Schedule model adaptive schedule planning, 61, 62 fast tracking, 59, 60 master project, 74 Planning Performance Domain, 58–62 predictive approaches, 58 release and iteration plan, 61 Schedule compression techniques, 52, 59 Schedule constraints, 41 Schedule management plan, 187 Schedule model, 59, 188 Schedule performance index (SPI), 100 Schedule variance (SV), 100 Scheduling adaptive methodologies and, 45 effort, duration and, 62 PMBOK ® Guide Scope, 224 See also Product scope; Project scope definition, 84–85 Scope baseline definition, 188 predictive projects and, 77 Scope change, 84 Scope creep, 12, 83, 87, 213 Scope decomposition, 84 Scope definition, 84–85 Scope management plan, 187 Scope of work, WBS and, 81, 84 Scope stability, 40 Scope validation, 131 Scrap, 89 Scrum, daily, 179 S-curve, 189 Secondary risks, 125 Self-awareness, 26, 27 Self-management, 26, 27 Sensitivity analysis, 177 Servant leaders, 18 Service(s) development approach and, 39–40 global market shifts, 219–221 Service level agreement (SLA), 191 Set-based design, 119 Shared ownership, 22 Shared understanding, 22 Sharing, opportunity and, 125 Simulation(s), 121, 177 Single-point estimating, 178 Situational ambiguity, 120 Situational Leadership® II, 156 Situational leadership models, 155–156 Skills See also Interpersonal skills leadership, 10, 23–29 social, 26, 27 soft, 12 SLA See Service level agreement SMART criteria, metrics and, 97 Smart watch development, 86 SMEs See Subject matter experts Social awareness, 26, 27 Index Social impact, 53 Social skill, 26, 27 Soft skills, 12 Software addition to more products, 225 development projects, 85 enhanced value, 220 SOW See Statement of work Spend rates, planned and actual, 113 SPI See Schedule performance index Sponsor, 207–210 See also Project sponsor behaviors, 209 lack of engagement and, 208 role of, 207–208 Sponsoring organization, 87, 116 Sprint, 45 See also Iteration Sprint planning meeting, 179 SS See Start-to-start relationship Stacey matrix, 165 Stage gate, 14, 42 Stakeholder(s) See also Project stakeholder(s) definition, examples of project, internal, 39 key, 11, 23, 44, 167, 179 Salience Model and, 171 Stakeholder analysis, 8, 177 Stakeholder engagement communication methods and, 13 engage, 12–14 identify, 11 monitor, 14 navigating effective, 10 prioritize, 12 project performance domain and, 10–14 Stakeholder Performance Domain, 10–14 steps in, 10, 11 understand and analyze, 11–12 Stakeholder engagement assessment matrix, 189, 190 Stakeholder engagement plan, 187 Stakeholder expectations, 28, 51, 68, 132 Stakeholder identification, 10, 11, 63, 64, 171 271 Stakeholder Performance Domain, 8–15 checking results, 15 definitions relevant to, interactions with other domains, 14 outcomes, desired, overview, 8–10 project stakeholders, examples of, stakeholder engagement, 10–14 tailoring considerations, 147 Stakeholder register, 185 Stakeholder requirements, 54, 72 Stakeholder satisfaction measurement of, 103–104 mood chart, 103 Standup meetings, 127, 179 Start date, 100 Start-to-start relationship, 59 Start up, 46 Start-ups, 221 Statement of work (SOW), 74, 87, 191 Status meeting, 180 Status quo, 163 Status report, 190 Steering committee, 180 Stoplight charts, 106 Story map, 190 Story point estimating, 178 Story points, 58, 119, 121 See also User stories Strategy artifacts, 184 Strengths, weaknesses, opportunities, and threats See SWOT analysis Subject matter experts (SMEs), 6, 176 See also Expert judgment Success, 224 See also Project success celebrating, 21 Successor, 59 Suitability filter, 138 Supplier rating, 88 Support, project manager and, 21 Surveys, 103, 104 Sustainability, 53 SV See Schedule variance SWOT analysis, 177 Systems-based complexity, 120–121 272 T T&M See Time and materials Tacit knowledge, 70, 77–78 Tailoring alternative to, 132 benefits, direct and indirect, 133 common situations and suggestions, 151 competing demands and, 132 definition, 6, 131 diagnostics, 151 leadership styles, 30 life cycle and development approach selection, 150 organization and, 139–140 overview, 131–132 performance domains and, 145–150 process, 71, 137–145 process tailoring, 135 for the project, 141–144 project artifacts, 136 project context and, 146, 154 project factors and, 140 reasons for, 133 sponsors and, 209 steps involved in, 145, 152 summary, 152 tool selection, 136 what to tailor, 134–136 Tailoring for project, 141–145 attributes and, 141 culture and, 143 ongoing improvement, 144 product/deliverable, 142 project team, 142 Tailoring performance domains, 145–150 delivery, 149 development approach and life cycle, 148 diagnostics, 151 measurement, 150 planning, 148 project context and, 146 project team, 147 project work, 149 stakeholders, 147 uncertainty, 150 PMBOK ® Guide Tailoring process, 137–145 initial development approach, selecting, 138 steps in, details of, 137 tailoring for the organization, 139–140 tailoring for the project, 141–144 Talent, 214 Task boards, 109, 110 Team(s) See also Project management team; Project team(s) colocation of, 135, 142, 147 high-performing project, 22 stable, 222–223, 225 Team charter, project, 19, 192 Team development, common aspects of, 18–19 Team management, 17–19 Team Performance Domain, 16–31 checking results, 31 definitions relevant to, 16 high-performing project teams, 22 interactions with other domains, 31 leadership skills, 23–29 outcomes, desired, 16 overview, 16 project team culture, 20–21 project team management and leadership, 17–19 tailoring leadership styles, 30 Technical performance measures, 85 Technology See also Software automation, 34 deliverables and, 142 distributed project teams and, 30 Email, 13 platform, in industry, 224 trends, 85 Templates, 35, 132, 136, 153, 184 Test phase, 47 Test plan, 187 Theory of needs, 159 Theory X, Theory Y, and Theory Z, 160 Thinking, critical, 24 Threat(s) definition, 123 strategies for, 123 threat profile, 124 Index Threshold budget, 113–114 tolerance, 96 Throughput analysis, 105 Throughput chart, 190 Time and materials (T&M), 191 Timeboxes, 62, 181 Time fragmentation, 18 To-complete performance index (TCPI), 105 Tools See also Software methods and artifacts, 136 suitability filter, 138 tailoring and, 136 Traceability matrices, 83 Training, 88 Transforming idea, 163 Transition Model, 164 Transparency, 20 Trend(s) global business, 219–221 leading indicators and, 96 technology, 85 Trend analysis, 177 Triple bottom line, 53 Troubleshooting performance, 113–114 Trust culture and, 143 high-performing project teams and, 22 win-win perspective and, 170 Tuckman Ladder, 166 Turnover, 104 U Unblock, sponsor and, 209 Uncertainty adjusting estimates for, 58 definition, 117 general, 119 Uncertainty Performance Domain, 116–129 ambiguity, 120 complexity, 120–121 definitions relevant to, 117 interactions with other performance domains, 128 273 outcomes, checking, 129 outcomes, desired, 116 overview, 116–118 risk, 122–127 tailoring considerations, 150 uncertainty, general, 119 volatility, 122 Understand and analyze, stakeholders and, 11–12 Understanding, shared, 22 Update(s) artifacts and, 171 generic, 183 Use case, 190 User stories customer value and, 84 decomposition and, 54 definition, 192 iteration plan and, 61 story point estimating and, 178 V VAC See Variance at completion Value See also Business value delivery of, 81–82 software-enhanced, 220 Value analysis See Earned value analysis (EVA) Value delivery continuous, 222 Delivery Performance Domain, 81–82 Value delivery office (VDO), 140, 141, 212 Value stream map, 190 Value stream mapping, 177 Vanity metric, 112 Variance(s), 68, 72, 94, 96, 101, 115, 188 Variance analysis, 177 Variance at completion (VAC), 105 274 Variations, 121, 123, 177 Velocity chart, 190 Vendor conferences See Bidder conferences Verification, 88 Virginia Satir Change Model, 163 Vision defining and sharing, 11 establishing and maintaining, 23 objectives and, 18 sponsors and, 208 Visual controls, 109–111 See also Chart(s) kanban boards, 110 task boards, 110 Visual data and information, 188–190 Volatility, 117 Uncertainty Performance Domain, 122 Voting, 28 W Warranty claims, 89 Waste, 89 Waterfall approach, 15, 49 WBS See Work breakdown structure (WBS) WBS dictionary, 85, 188 What-if scenario analysis, 177 Wideband Delphi, 28, 178 Win-win perspective, 169, 170 Work new work effort, 58 non-value-added, 72 Work breakdown structure (WBS) decomposition and, 54, 84 definition, 81, 187 Work packages, 85, 189 Work performance See Project Work Performance Domain Written communication, 72 See also Email PMBOK ® Guide PMBOK® Guide – Seventh Edition AND The Standard for Project Management With this in mind, A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – Seventh Edition takes a deeper look into the fundamental concepts and constructs of the profession Including both The Standard for Project Management and the PMBOK® Guide, this edition presents 12 principles of project management and eight project performance domains that are critical for effectively delivering project outcomes This edition of the PMBOKđ Guide: ã Reflects the full range of development approaches (predictive, traditional, adaptive, agile, hybrid, etc.); • Devotes an entire section to tailoring development approaches and processes; • Expands the list of tools and techniques in a new section, “Models, Methods, and Artifacts”; • Focuses on project outcomes, in addition to deliverables; and • Integrates with PMIstandards+™, giving users access to content that helps them apply the PMBOK® Guide on the job The result is a modern guide that better enables project team members to be proactive, innovative, and nimble in delivering project outcomes A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – Seventh Edition and The Standard for Project Management Over the past few years, emerging technology, new approaches, and rapid market changes disrupted our ways of working, driving the project management profession to evolve Each industry, organization and project face unique challenges, and team members must adapt their approaches to successfully manage projects and deliver results GLOBAL STANDARD A Guide to the Project Management Body of Knowledge PMBOK GUIDE ® Seventh Edition The Standard for Project Management AND ANSI/PMI 99-001-2021 Project Management Institute Global Headquarters 14 Campus Boulevard Newtown Square, PA 19073 USA Tel: +1 610 356 4600 PMI.org PMBOK_Guide_7thED_cover_spread.indd 5/3/21 4:57 PM ... project management and a guide to the project management body of knowledge (PMBOK guide) Other titles: Guide to the project management body of knowledge (PMBOK guide) | PMBOK guide Description: Seventh... 61 xvi A GUIDE TO THE PROJECT MANAGEMENT BODY OF KNOWLEDGE (PMBOK? ? GUIDE) 1.  INTRODUCTION 1.1  Structure of the PMBOK? ? Guide 1.2  Relationship of the PMBOK? ? Guide and The... the Sixth to the Seventh Edition of the PMBOK? ? Guide, along with the connection to the PMIstandards+ digital platform xii PMBOK? ? Guide – Sixth Edition A Guide to the Project Management Body of